Pan African Resources PLC (AIM:PAF, OTCQX:PAFRY, JSE:PAN, OTCQX:PAFRF) has said its interim earnings will come in well below last year after previously flagged production issues at its Barberton complex.
The South African gold miner said it now expects earnings of between 1.40 US cents and US 1.64 US cents per share for the six months to end December 2022, compared to 2.39 US cents for the corresponding reporting period, a decrease of between 31% and 41%.
Pan African said the decline was largely the result of a 19% decrease in gold revenue to US$156.5mln (2021: US$193.6mln), attributable to 16% lower gold sales and a 4.4% reduction in its receivable gold price at US$1,725 an ounce.
Currencies also had an impact, with a change in the average rand/US dollar exchange rates over the period of 15%.
Pan African has said already it expects production to recover in the second half of the year,
Shares dropped 2% to 15.5p.